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control of technology
? Price stability within the markets
? Goods are highly differentiated or standardized
? Non ?price competitive e.g. free deliveries and installation, extended warranties
? Restricted information.
Oligopolies do not compete on prices. Price wars tend to lead to lower profits, leaving a little change to market shares. However, Oligopolies firms tend to charge reasonably premium prices but they compete through advertising and other promotional means. Existing companies are safe from new companies entering the market because barriers to entry to the market are high. For example, if products are heavily promoted and producers have a number of existing successful brands, it will be very costly and difficult for new firms to establish their own new brand in an oligopoly market...
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